A U.S. special forces soldier who helped plan and execute the military operation that captured Venezuelan president Nicolás Maduro allegedly used classified information to place nearly $33,000 worth of bets on prediction markets, netting more than $409,000 in winnings before authorities caught him trying to cover his tracks.
Gannon Ken Van Dyke, identified in a federal indictment unsealed this week, made approximately 13 bets on the Polymarket prediction platform between late December and late January, according to the U.S. Attorney's Office for the Southern District of New York. Prosecutors allege he had direct knowledge of the operation's timing and outcome because he was involved in its planning and execution.
The scheme unraveled quickly. Hours after the U.S. government apprehended Maduro and transported him aboard the USS Iwo Jima, a photograph of Van Dyke was uploaded to his Google account, according to the indictment. The image showed him on the ship's deck at sunrise wearing military fatigues and carrying a rifle, surrounded by three other uniformed personnel.
Van Dyke faced five federal criminal counts: unlawful use of confidential government information for personal gain, theft of nonpublic government information, commodities fraud, wire fraud, and making an unlawful monetary transaction. The Commodity Futures Trading Commission simultaneously filed civil charges seeking restitution, disgorgement, civil monetary penalties, trading and registration bans, and a permanent injunction.
The evidence of a cover-up emerged quickly. After his bets paid off, Van Dyke allegedly sent most of his proceeds to a foreign cryptocurrency vault before depositing them into a newly created online brokerage account. On the day of the operation itself, he withdrew the majority of his winnings from Polymarket. Three days later, on January 6, he requested that Polymarket delete his account, falsely claiming he had lost access to his email address.
Polymarket said it identified the suspicious trading activity and immediately referred the matter to the Justice Department. "When we identified a user trading on classified government information, we referred the matter to the DOJ and cooperated with their investigation," the company said in a statement. "Insider trading has no place on Polymarket. Today's arrest is proof the system works."
The case prompted a response from the Trump administration. Acting Attorney General Todd Blanche said in a statement: "Our men and women in uniform are trusted with classified information in order to accomplish their mission as safely and effectively as possible, and are prohibited from using this highly sensitive information for personal financial gain." FBI Director Kash Patel called the indictment proof that "no one is above the law."
When asked about the arrest, President Trump told reporters he does not approve of betting on military operations. "I don't know about it. I'll look into it," Trump said during an unrelated Oval Office event. He drew a comparison to baseball legend Pete Rose. "The whole world, unfortunately, has become somewhat of a casino," Trump added. "I'm not happy with any of that stuff."
Van Dyke has not yet publicly retained counsel, and no attorney is listed on the court docket. The case has been assigned to U.S. District Judge Margaret M. Garnett, and his next court appearance has not been scheduled.
Author Sarah Mitchell: "This is exactly what happens when classified information meets easily accessible betting platforms - a soldier with real knowledge thought he could get rich quick without consequences, and the evidence trail he left behind made the case almost embarrassingly easy to prosecute."
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